The share market is full of potential opportunities and pitfalls.
I think only a certain number of shares are worth investing in at any one time because only certain businesses offer enough value or quality to be worth consideration.
If I were going to buy three shares today, these are the three I'd choose:
BWX Limited (ASX: BWX)
BWX is a very interesting business compared to most of the ASX.
It is the owner of several 'natural' beauty brands such as Sukin and Edward Beale. The business has been attracting a lot of new customers with both domestic and export revenue growing strongly during FY17.
The next couple of years could have a lot of growth in store with the acquisitions of Mineral Fusion and Andalou Naturals Inc.
BWX is currently trading at 26x FY18's estimated earnings with a grossed-up dividend yield of 1.37%.
Greencross Limited (ASX: GXL)
The market continues to look down on the pet giant of Australia. Online shopping could hurt Greencross, but it has a great opportunity to grow its own online sales. Online sales are indeed booming.
The pet industry is a growing sector and Greencross is a large beneficiary with this being shown through impressive growth of revenue each year.
Greencross is trading at 13x FY18's estimated earnings with a grossed-up dividend yield of 5.25%.
Challenger is the annuity king of Australia. It has very pleasing tailwinds thanks to the amount of baby boomers that will be retiring over the upcoming years.
Challenger is expecting a good FY18 and I think the current price could be worth a small investment at 20x FY18's estimated earnings with a grossed-up dividend yield of 3.6%.
Foolish takeaway
I think all three shares are very good options for investors looking to build a portfolio of high quality shares.
At the current prices I think all three are buys. BWX may be the most expensive in price/earnings ratio terms but could produce the biggest returns.
